Cyprus business confidence declines in February

Business confidence fell sharply in February 2009 on the back of a decline in the construction sector, according to a survey conducted by the Economics Research Centre of the University of Cyprus, while further deterioration is expected in the services and retail trade sectors.
In February, the Economic Index fell to 67.3 units, 3.6 units lower vs. January 2009. According to the survey, the most negative climate is recorded in the construction sector, where construction activity, work in progress, expected employment and selling prices for the next three months, present a significant deterioration compared to January’s. The survey also forecasts that business climate in the retail trade sector is expected to deteriorate, whilst enterprises in the services sector appear more pessimistic relative to their economic condition and demand.